One-third of region's homes underwater

Published: Thursday, September 5, 2013 at 1:00 a.m.

Last Modified: Wednesday, September 4, 2013 at 8:19 p.m.

Despite the recovery in values, nearly 109,000 residential homeowners with mortgages in Southwest Florida are still considered "deeply underwater," according to a new report.

That means that more than one-third of the region's homeowners owe at least 25 percent more on their mortgages than their properties are worth, research firm RealtyTrac Inc. said Wednesday.

Another 38,600 homeowners in Sarasota, Manatee and Charlotte counties are in what RealtyTrac calls "resurfacing" mode, meaning they have between 10 percent positive and 10 percent negative equity. Those are on track to have enough equity to sell their homes, without resorting to a short sale, in the next 15 months, the firm said.

Florida reported 2.07 million homes were deeply underwater, tying Illinois at 40 percent for the nation's second-highest level. Nevada was first at 46 percent.

Nationwide, the 10.7 million homes with at least 125 percent loan-to-value ratios represented 23 percent of all mortgaged residences. That was down from 12.5 million homes, or 28 percent, one year ago.

"Steadily rising home prices are lifting all boats in this housing market and should spill over into more inventory of homes for sale in the coming months," said Daren Blomquist, vice president at RealtyTrac.

Deemed deeply underwater were 45,835 homes, or 33 percent, in Sarasota; 38,988 homes, or 38 percent, in Manatee; and 23,968 homes in Charlotte, or 33 percent.

Tapped with resurfacing equity were 17,318 homes, or 13 percent, in Sarasota; 13,377 homes, or 13 percent, in Manatee; and 7,924, or 11 percent, in Charlotte.

The percentage of "equity rich" properties -- those in which homeowners have at least 50 percent equity -- varied regionally.

<p>Despite the recovery in values, nearly 109,000 residential homeowners with mortgages in Southwest Florida are still considered "deeply underwater," according to a new report.</p><p>That means that more than one-third of the region's homeowners owe at least 25 percent more on their mortgages than their properties are worth, research firm RealtyTrac Inc. said Wednesday.</p><p>Another 38,600 homeowners in Sarasota, Manatee and Charlotte counties are in what RealtyTrac calls "resurfacing" mode, meaning they have between 10 percent positive and 10 percent negative equity. Those are on track to have enough equity to sell their homes, without resorting to a short sale, in the next 15 months, the firm said.</p><p>Florida reported 2.07 million homes were deeply underwater, tying Illinois at 40 percent for the nation's second-highest level. Nevada was first at 46 percent.</p><p>Nationwide, the 10.7 million homes with at least 125 percent loan-to-value ratios represented 23 percent of all mortgaged residences. That was down from 12.5 million homes, or 28 percent, one year ago.</p><p>"Steadily rising home prices are lifting all boats in this housing market and should spill over into more inventory of homes for sale in the coming months," said Daren Blomquist, vice president at RealtyTrac.</p><p>Deemed deeply underwater were 45,835 homes, or 33 percent, in Sarasota; 38,988 homes, or 38 percent, in Manatee; and 23,968 homes in Charlotte, or 33 percent.</p><p>Tapped with resurfacing equity were 17,318 homes, or 13 percent, in Sarasota; 13,377 homes, or 13 percent, in Manatee; and 7,924, or 11 percent, in Charlotte.</p><p>The percentage of "equity rich" properties -- those in which homeowners have at least 50 percent equity -- varied regionally.</p><p>Sarasota reported 21,703 such properties, or 21 percent of mortgaged homes; Manatee had 12,393, or 12 percent; and Charlotte totaled 15,403, or 21 percent.</p><p>Florida recorded a 12 percent equity-rich level, while the U.S. rate was 16 percent.</p>